REGISTERED NUMBER: 00852710 (England and Wales)

Strategic Report,

Report of the Directors and

Financial Statements

for the Year Ended 31 December 2024

for

SUTTON PARK MOTOR COMPANY LIMITED

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

7

Statement of Comprehensive Income

9

Statement of Financial Position

10

Statement of Changes in Equity

11

Notes to the Financial Statements

12

Directors:

D Fulton

J L Shannon

C Thomas

M P Yarwood

Secretary:

J L Shannon

Registered office:

37 Lichfield Street

Burton On Trent

Staffordshire

DE14 3RH

Registered number:

00852710 (England and Wales)

Auditors:

S&W Audit

Northern Assurance Buildings

9-21 Princess Street

Manchester

M2 4DN

The directors present their strategic report for the year ended 31 December 2024.

Review of business

The principal activity has remained that of a privately owned car dealership group.

Sutton Park Motor Company Ltd is a privately owned Motor Dealer Group with 7 locations across the Midlands, representing 3 Brands.

The business continues to show solid growth in the year and has now cleared all long term debt and only periodically making use of the overdraft facility.

The change in Manufacturer's new car production impacted upon used vehicle values particularly in the last quarter and adjustments have been made to trading to eliminate excess stockholding in the first quarter post year end.

The Directors remain confident in the stability of the business moving forward, which allows for consideration should future opportunities arise.

Principal risks and uncertainties

a) GENERAL ECONOMIC CONDITIONS

The group and company operate in a retail environment and are therefore reliant on consumer spending.

The UK government has currently increased interest rates to curb the rising inflation and to reduce consumer spending. As a result, the directors have adapted the business over the previous 12 months, and will continue to monitor economic conditions and further government announcements in these areas to mitigate the impact on the group and company.

b) MANUFACTURER RELATIONSHIPS AND SUPPLY

The group relies on the strength of its relationships with the vehicle manufacturers to deliver a significant component of group trading. Changes in the strategy of those key manufacturers could materially impact the group's results. Linked to this the group is reliant on new vehicle products from its franchise partners and therefore there are risks regarding available, quality and pricing of new products set by the manufacturers. It is in the manufacturers best interests to be competitive in this area and therefore the risk is considered low, and is offset by other core areas such as used vehicles sales, parts sales and service work.

c) USED VEHICLE PRICES

Used vehicles price movements can present a significant risk in the event that the market price moves rapidly between the point of purchase and point of sale of a used vehicle which impacts anticipated margins. Used vehicles stocks are regularly monitored with a focus on stock turn to reduce the length of time that used vehicles are in stock, and review prices to ensure they remain competitive to achieve this.

d) COMPETITION AND PEOPLE

The market is highly competitive with various alternatives that customers can look to. The company is proud of its reputation for customer service, quality and value to mitigate this risk.This reputation is due to investment in people and training over the years, to reinforce the Sutton Park brand. The group undertakes regular reviews of remuneration and packages to ensure that it attracts and retains its best people.

Section 172(1) statement

The directors confirm that they have acted in a way that they considered to be in good faith, and to promote the success of the group for the benefit of its members as a whole, and in doing so have had regard (amongst other matters to the issues below:

- the likely consequences of any decisions in the long term

- the interests of the group's employees

- the need to foster the group's business relationships with suppliers, customers and others

- the impact of the group's operations on the community and the environment

- the desirability of the group maintaining a reputation for high standards of business conduct

- the need to act fairly as between members of the group

Key performance indicators

The directors consider that the key performance indicators are as follows:

2024

2023

Turnover

£149,378,133

£146,037,665

Gross profit

£5,088,081

£4,971,309

Gross margin

3.41%

3.40%

Return on capital employed

15.18%

26.54%

On behalf of the board:

C Thomas - Director

27 August 2025

The directors present their report with the financial statements of the company for the year ended 31 December 2024.

Principal activity

The principal activity of the company in the year under review was that of a car dealership.

Dividends

The total distributions of dividends for the year ended 31 December 2024 will be £nil (2023: £nil).

Future developments

The directors consider that the business will be well placed to take advantage of any future opportunities which may present themselves.

Directors

The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report.

D Fulton

J L Shannon

C Thomas

M P Yarwood

Financial instruments

The company use various financial instruments including overdrafts, cash and various items such as trade debtors and trade creditors that arise directly from its operations. The company does not use derivative financial instruments to manage these risk.

The existence of these financial instruments expose the company to a number of financial risks including liquidity risk, interest rate risk and credit risk which are described in more detail below:

Liquidity risk

The company makes efforts to manage the financial risk by the monitoring of cashflow to ensure that the company is able to meet its foreseeable debts as they fall due and to invest any cash asset profitability.

Interest rate risk

The company sometimes uses bank borrowings to finance its operations during peak periods.

Due to the limited use of facility, and the historically low prevailing interest rate, the director do not deem it necessary to hedge against interest rate fluctuations.

Credit risk

The company's principal assets are cash and trade debtors. The credit risk associated with the cash is minimal.

The principal credit risk therefore arises from its trade debtors.

In order to manage credit risk the directors have implemented processes to ensure receipt of cleared funds for vehicles sales before the vehicle is released.

Other trade debtors require approved credit in advance which is supported by references and payments is required within the company's credit terms therefore minimising credit risk.

Disclosure in the Strategic Report

The directors' review of the business, and their consideration of the risk and uncertainties surrounding the business, may be found in the Strategic Report.

Engagement with employees

Why is it important to engage

Ways to engage

Stakeholders' key interests

Engagement between our employees and our customers is the primary method by which we are able to exhibit the Sutton Park brand. Our employees are fundamental in delivering the customer experience and the key to business success

Recognition and reward environment, regular training and apprenticeship programmes

Career progression, remuneration and benefits, training and development, employee interaction and well-being

Engagement with suppliers, customers and others

Why is it important to engage

Ways to engage

Stakeholders' key interests

Engagement with our supply chain ensures that we are able to supply our customers with the models and aftersales products they desire whilst maintaining supply security as far as possible.

Regular supplier meetings to build upon long term relationships, product updates, corporate image maintenance and infrastructure support

Logistical efficiencies, cost efficiencies, maintenance of quality product supply and good workings relationship

Engagement with our customers enables us to understand our customers' need, deliver relevant products and aftersales services in order to retain existing customers and attract new ones

Brand TV and radio advertising, face to face, telephone, website, social media and satisfaction surveys

Availability of range and aftersales services together with convenience, reliability and trust

Statement of corporate governance arrangements

The company is exempt from the disclosure requirements in this area.

Streamlined energy and carbon reporting

This section includes our mandatory reporting of energy and greenhouse gas emissions for the period 1 January 2024 to 31 December 2024, pursuant to the Companies (Directors' Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations 2018, implementing the government's Streamlined Energy and Carbon Reporting (SECR) policy.

Our methodology to calculate our greenhouse gas emissions is based on the 'Environmental Reporting Guidelines: Including streamlined energy and carbon reporting guidance (March 2019)', using DESNZ's 2023 and 2024 conversion factors as applicable. In some cases, consumption has been extrapolated from available data or direct comparison made to a comparable period.

We report using a financial control approach to define our organisational boundary. We have reported all material emission sources required by the regulations for which we deem ourselves to be responsible and have maintained records of all source data and calculations.

During the reporting period, no energy efficiency actions have been taken. The table below includes total energy consumption (reported as kWh) and greenhouse gas emissions for the sources required by the regulations, along with our intensity ratio.

01/01/2024 - 31/12/2024

01/01/2023 - 31/12/2023

Total Energy Consumption - Used for Emissions Calculation (kWh)

1,687,071

1,468,412

Gas Combustion Emissions, Scope 1 (tCO2e)

111.2

104.4

Purchased Electricity Emissions, Scope 2 (tCO2e)

113.0

107.2

Vehicle Fuel Combustion Emissions, Scope 1 (tCO2e)

116.6

81.6

Vehicle Fuel Combustion Emissions, Scope 2 (tCO2e)

4.3

-

Vehicle Fuel Combustion Emissions, Scope 3 (tCO2e)

2.4

2.2

Total Gross Reported Emissions (tCO2e)

342.6

295.4

Turnover (£m)

149.4

146.0

Intensity Ratio: Turnover (tCO2e / £m)

2.3

2.0

Statement of directors' responsibilities

The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Statement as to disclosure of information to auditors

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

On behalf of the board:

C Thomas - Director

27 August 2025

Opinion

We have audited the financial statements of Sutton Park Motor Company Limited (the 'company') for the year ended 31 December 2024 which comprise the Statement of Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2024 and of its profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the report of the directors, other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the report of the directors. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page six, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below:

- Identifying and assessing the design and effectiveness of controls that management has in place to prevent and detect fraud;

- Understanding how those charged with governance considered and assessed the potential for override of controls or other inappropriate influence over the reporting process;

- Challenging assumptions and judgements made by management in its significant accounting estimates, in particular stock provision by reference to events after date and CAP guide;

- Identifying and testing journal entries, in particular any journals posted we considered to be unusual. This included the use of data analytic software;

- Performing extended substantive testing on revenue streams, with a focus on existence and cut-off; and

- Assessing the extent of compliance with applicable laws and regulations.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Antony Sassen (Senior Statutory Auditor)

for and on behalf of S&W Audit

Northern Assurance Buildings

9-21 Princess Street

Manchester

M2 4DN

28 August 2025

Turnover

4

149,378,133

146,037,665

Cost of sales

(144,290,052

)

(141,066,356

)

Gross profit

5,088,081

4,971,309

Administrative expenses

(4,546,896

)

(4,069,493

)

Operating profit

6

541,185

901,816

Interest receivable and similar income

22,773

-

563,958

901,816

Interest payable and similar expenses

7

(312,894

)

(232,168

)

Profit before taxation

251,064

669,648

Tax on profit

8

(129,034

)

(190,726

)

Profit for the financial year

122,030

478,922

Other comprehensive income

-

-

Total comprehensive income for the year

122,030

478,922

Fixed assets

Tangible assets

9

871,064

708,139

Current assets

Stocks

10

20,028,313

16,400,777

Debtors

11

4,924,855

3,067,676

Cash in hand

2,627

3,141

24,955,795

19,471,594

Creditors

Amounts falling due within one year

12

22,261,152

16,782,056

Net current assets

2,694,643

2,689,538

Total assets less current liabilities

3,565,707

3,397,677

Provisions for liabilities

16

188,000

142,000

Net assets

3,377,707

3,255,677

Capital and reserves

Called up share capital

17

1,000

1,000

Retained earnings

18

3,376,707

3,254,677

Shareholders' funds

3,377,707

3,255,677

The financial statements were approved by the Board of Directors and authorised for issue on 27 August 2025 and were signed on its behalf by:

C Thomas - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

1,000

2,775,755

2,776,755

Changes in equity

Total comprehensive income

-

478,922

478,922

Balance at 31 December 2023

1,000

3,254,677

3,255,677

Changes in equity

Total comprehensive income

-

122,030

122,030

Balance at 31 December 2024

1,000

3,376,707

3,377,707

1.	Statutory information

Sutton Park Motor Company Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.

3.	Accounting policies

Going concern

The directors have assessed and concluded that the group have adequate resources to meet its debts as they fall due for the period of 12 months after the approval of these financial statements.

In light of the statement above, the directors have therefore prepared the financial statements on a going concern basis.

Basis of preparation of financial statements

The preparation of the financial statements in compliance with FRS 102 require the use of certain critical accounting estimates. It also requires management to exercise judgment, in applying the company's accounting policies (see judgements in applying accounting policies and key sources of estimation uncertainty below).

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

•

the requirements of Section 7 Statement of Cash Flows;

•

the requirement of paragraph 3.17(d);

•

the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);

•

the requirement of paragraph 33.7.

This information is included in the consolidated financial statements of Sutton Park Holdings Limited as at 31 December 2024 and the financial statements may be obtained from Companies House, Crown Way, Cardiff, CF14 3UZ.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Judgments in applying accounting policies and key sources of estimation

The preparation of the financial statements require management to make judgements, estimates and assumptions that effect the amounts reported for assets and liabilities at the reporting date and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates.

The following judgments have been made by the directors in applying the company's accounting policies:

a) Stock valuation

Stock valuation is regularly monitored against age profile and market demand Management use a number of market tools during the appraisal process including Glass' and CAP valuation guides. The directors maintain oversight the ageing stock profiles and monthly review of any provision required is performed.

b) Property improvements, plant & machinery and fixtures & fittings

At each reporting date property improvements, plant and machinery and fixtures and fittings are assessed for any indication of impairment. If such indication exists the recoverable amount of the asset is determined based on value in use calculations which require estimates to be made of future cash flows. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

c) Brand Incentives

The company receives income in the form of various incentives which are determined by the company's brand partners. The amount receivable is generally based on achieving specific objectives such as a specified sales volume, as well as other objectives including maintaining brand partner standards which may include, but are not limited to, retail centre image and design requirements, customer satisfaction survey results and training standards. Objectives are generally set and measured on either a quarterly on annual basis.

Where incentives are based on a specific sales volume or number of registrations, the related income is recognised as a reduction in cost of sales when it is reasonably certain that the income has been earned. This is generally the later of the date the related vehicles are sold or registered when it is reasonably certain the related target will be met.

Where incentives are linked to retail centre image and design requirements, customer satisfaction survey results or training standards. They are recognised as a reduction in cost of sales when it is reasonably certain that the incentives will be received for the relevant period.

The company may also receive contributions towards facilities' capital expenditure, advertising and promotion. Where the expenditure is received relative to an item of expenditure it is recognised within the Statement of Comprehensive Income to match the cost of that item of expenditure or depreciation of that asset class.

Turnover

Turnover from the sales of goods is recognised in the Statement of Comprehensive Income, net of discounts and value added tax, when the significant risks and rewards of ownership have been transferred to the buyer. In general this occurs when vehicles or parts have been supplied or when a service has been completed.

Commission income is recognised on a receivable basis.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Leasehold improvements

-

33% straight line and 10% straight line

Plant and machinery

-

33% straight line and 10% straight line

Fixtures and fittings

-

25% straight line and 10% straight line

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulation impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

The company adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item when the cost is incurred, if the replacement part is expected to be provide incremental future benefits to the company. Repairs and maintenance are charged to the Statement of Comprehensive Income during the period in which they are incurred.

The assets' residual values useful lives and depreciation methods are reviewed and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gain and loss on disposals are determined by comparing the proceeds with the carrying amount and are recognised within the Statement of Comprehensive Income.

Stocks

Stocks are stated at the lower of cost and net realisable value, after making due to allowance for obsolete and slow moving stocks.

At each reporting date, inventories are assessed for impairment. If inventory is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss recognised immediately in the Statement of Comprehensive Income.

Consignment stocks

Consignment vehicles which bear considerably more of the risks and responsibilities of ownership are regarded effectively as being under the control of the company and, in accordance with FRS 102 are included in stocks on the Statement of Financial Position, although legal title has not passed to the company. The corresponding liability is included as new vehicle funding is creditors and is secured directly on these vehicles.

Financial instrument

The company only has basic financial instruments, which are recognised at amortised cost.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date.

Timing differences arise from the inclusion of income and expenses in tax assessments in period different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have need enacted or substantively enacted by the year and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recoverable against the reversal of deferred tax liabilities or other future taxable profit.

Leasing commitments

Rentals paid under operating leases are charged to the Statement of Comprehensive Income on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to the Statement of Comprehensive Income in the period to which they relate.

Debtors

Short term debtors are measured at transaction price, less any impairment.

Creditors

Short term creditors are measured at the transaction price. Other financial liabilities, including bank overdrafts, are measured amortised cost.

Finance cost

Finance costs are charged to the Statement of Comprehensive Income over the term of the debt.

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final dividends are recognised when they are approved by the shareholders.

4.

Turnover

The turnover and profit before taxation are attributable to the one principal activity of the company.

An analysis of turnover by class of business is given below:

2024

2023

£

£

Sale of goods

147,631,391

143,644,284

Rendering of services

912,803

1,347,762

Other

833,939

1,045,619

149,378,133

146,037,665

5.	Employees and directors

2024

2023

£

£

Wages and salaries

5,498,403

5,056,819

Social security costs

542,795

495,536

Other pension costs

204,440

144,676

6,245,638

5,697,031

The average number of employees during the year was as follows:

2024

2023

Sales, servicing and parts

133

123

Administration

20

20

153

143

2024

2023

£

£

Directors' remuneration

553,391

337,571

Directors' pension contributions to money purchase schemes

50,730

54,730

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

3

3

Information regarding the highest paid director is as follows:

2024

2023

£

£

Emoluments etc

264,581

120,730

Pension contributions to money purchase schemes

-

20,000

Directors' remuneration has been allocated on time usage between group companies.

6.	Operating profit

The operating profit is stated after charging:

2024

2023

£

£

Other operating leases

911,444

897,943

Depreciation - owned assets

125,970

111,425

Auditors' remuneration

24,065

23,000

Auditors' remuneration for non audit work

3,000

3,500

7.

Interest payable and similar expenses

2024

2023

£

£

Bank interest

-

2,500

Stocking loan interest

312,894

229,668

312,894

232,168

8.

Taxation

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

2024

2023

£

£

Current tax:

UK corporation tax

83,034

58,274

(Over)/under provision PY

-

252

Total current tax

83,034

58,526

Deferred tax

46,000

132,200

Tax on profit

129,034

190,726

UK corporation tax has been charged at 25% .

Reconciliation of total tax charge included in profit and loss

The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

2024

2023

£

£

Profit before tax

251,064

669,648

Profit multiplied by the standard rate of corporation tax in the UK of 25% (2023 - 25%)

62,766

167,412

Effects of:

Expenses not deductible for tax purposes

1,771

2,702

Capital allowances in excess of depreciation

-

(106,931

)

Depreciation in excess of capital allowances

18,497

-

Adjustments to tax charge in respect of previous periods

-

252

Change in tax rates

-

(4,909

)

Deferred tax movement

46,000

132,200

Total tax charge

129,034

190,726

9.	Tangible fixed assets

Fixtures

Leasehold

Plant and

and

improvements

machinery

fittings

Totals

£

£

£

£

Cost

At 1 January 2024

517,050

459,240

1,155,073

2,131,363

Additions

-

22,137

266,758

288,895

At 31 December 2024

517,050

481,377

1,421,831

2,420,258

Depreciation

At 1 January 2024

510,665

334,515

578,044

1,423,224

Charge for year

2,905

38,651

84,414

125,970

At 31 December 2024

513,570

373,166

662,458

1,549,194

Net book value

At 31 December 2024

3,480

108,211

759,373

871,064

At 31 December 2023

6,385

124,725

577,029

708,139

All fixed assets are pledged as security for the company's bank overdraft.

10.

Stocks

2024

2023

£

£

Vehicle stock

19,718,871

16,197,444

Parts stock

309,442

203,333

20,028,313

16,400,777

The movements on the stock provision during the year for the group was as follows:

2024

2023

£

£

Balance at 1 January

860,432

330,409

Provided in year

424,982

688,653

Utilised in year

(655,109

)

(158,630

)

Balance at 31 December

630,305

860,432

All stock is pledged as security for the vehicle funding and bank facilities.

11.

Debtors: amounts falling due within one year

2024

2023

£

£

Trade debtors

2,913,595

1,697,162

Other debtors

1,131,055

745,074

VAT

402,617

277,160

Prepayments

477,588

348,280

4,924,855

3,067,676